GM closing Ontario, Detroit, and Ohio factories
#631
You overstate the level of need GM has for the UAW. The UAW needs to negotiate a new deal with GM, not the other way around.
#632
GM can't build their vehicles without a UAW contract in the US. A negotiation goes both ways.
#633
GM has said they will "idle" the plant. That means the plant is closing. GM could keep it open sure, they could re-open it at a later date sure, they could sell it to somebody else, sure. There has to be a reason to do those things though, and "employing people for the sake of employing people" isn't a reason for them to do that.
They can't in the US. With each plant that shifts out of the country GM needs the UAW a little less. Thats also a motivation for them to ship production out of the country.
A negotiation goes both ways sure, but opposite sides of a negotiation hold different amounts of leverage. The UAW thinks they hold more cards than they do.
A negotiation goes both ways sure, but opposite sides of a negotiation hold different amounts of leverage. The UAW thinks they hold more cards than they do.
#634
GM has officially said, they are un-allocating product. Uunder the UAW contract, GM cannot close a factory, they must negotiate the closure of a such factory in the US. In Canada, GM can close the factory with one years notice with Unifor. UAW unions make it very complicated for GM in the USA
#635
GM has officially said, they are un-allocating product. Uunder the UAW contract, GM cannot close a factory, they must negotiate the closure of a such factory in the US. In Canada, GM can close the factory with one years notice with Unifor. UAW unions make it very complicated for GM in the USA
This complication is one of the big reasons why GM is at such a disadvantage in the marketplace. The UAW shoulders a huge part of the blame for GM's issues.
#636
We don't know that it will close for sure. As it just got extended to the time where the new UAW contracts gets discussed.
#637
This plant isn't going to be producing product for GM in the future is the point. Does it "stay open" in some skeleton way to comply with the UAW agreement? Perhaps if its more cost effective for them to do that than to breach the agreement.
Companies breach agreements all the time if thats what make the most financial sense for them. Its all about dollars, companies are going to go the highest value way (which isn't always the cheapest)
#638
Both of us really do not know, I guess nobody does. However, the plant got extended by 7 months which comes up with the UAW contract. I never would of expected the plant to get extended. So, GM is closing 5 of their sedan plants, who knows, maybe they will change course and just close 4 plants.
Last edited by Toys4RJill; 02-24-19 at 07:31 AM.
#639
The way I see it is, it's like growing tobacco. If this is what made you healthy, wealthy, and wise, you don't want to give it up. But time marches on, and suddenly it's not cool to smoke. Or when cameras went digital from 35mm. Those who refuse to adapt, can likely be jobless. When I toured the skyscraper a couple weeks ago, you better believe that was all union work. Good work? Looked like it. But it does drive the costs up 35%. Today, it's assumed and there is no option. But 50 years from now? maybe the skyscraper gets built with non union labor, as cars do. Should you be banned from parking a Lexus on the union hall's lot? Today, yes. 50 years form now, maybe you walk or ride a bike. Time marches on. And I kid you not, I was told, you do not park a non American based motor vehicle on the lot of the union hall. If you drive said vehicles, it's on the street, period. That's why I found it funny when guys who setup an inflatable rat were in an Acura MDX.
#640
Now Ohio is willing to offer some incentives to GM.
https://myfox28columbus.com/news/loc...ordstown-plant
WARREN, Ohio — On Saturday, Ohio Governor Mike DeWine met with lawmakers and local officials in Warren, Ohio about the General Motors plant in Lordstown, Ohio.
DeWine indicated that if General Motors wanted to bring jobs back to Ohio, the state would possibly be willing to help the company with funding to update the Lordstown Plant.
"We've been in touch with them, as recently as this morning. Our priority of course would be for them to put a new line in there. We have told them we will be there with state money and state resources to make that work," said DeWine.
The governor says he's in constant contact with company officials and wants to do what it takes to keep thousands of jobs in Ohio.
DeWine also said that GM hasn't given him any indication that the company plans to make another car in the plant.
https://myfox28columbus.com/news/loc...ordstown-plant
WARREN, Ohio — On Saturday, Ohio Governor Mike DeWine met with lawmakers and local officials in Warren, Ohio about the General Motors plant in Lordstown, Ohio.
DeWine indicated that if General Motors wanted to bring jobs back to Ohio, the state would possibly be willing to help the company with funding to update the Lordstown Plant.
"We've been in touch with them, as recently as this morning. Our priority of course would be for them to put a new line in there. We have told them we will be there with state money and state resources to make that work," said DeWine.
The governor says he's in constant contact with company officials and wants to do what it takes to keep thousands of jobs in Ohio.
DeWine also said that GM hasn't given him any indication that the company plans to make another car in the plant.
#641
One should not have to bribe corporations into doing what they should be doing in the first place. Not just the State of Ohio, but the entire U.S., with Federal money (not to mention the UAW money, bond-purchases, and everything else that went into the GM bankruptcy-rescue) were there to assist GM when it was needed. Now, the company that was so "grateful" for the buyout wants to turn around and bite one of the hands that fed it. I once had some sympathy for this company, but have lost virtually all of it by their recent actions.
#642
One should not have to bribe corporations into doing what they should be doing in the first place. Not just the State of Ohio, but the entire U.S., with Federal money (not to mention the UAW money, bond-purchases, and everything else that went into the GM bankruptcy-rescue) were there to assist GM when it was needed. Now, the company that was so "grateful" for the buyout wants to turn around and bite one of the hands that fed it. I once had some sympathy for this company, but have lost virtually all of it by their recent actions.
#643
I agree (at least, in the sense of the way you describe it).........but how much more of an "incentive" can you give a corporation than to have saved them from bankruptcy? And that money ultimately came from all over the country, not just Ohio.
#644
I would say bankruptcy and having an incentive to attract a company are different. But I see what you mean. It's a good measure to try to keep GM as the taxes made of salaries and homes usually outweigh the incentive paid out.
#645
Originally Posted by Johnhav430
The way I see it is, it's like growing tobacco. If this is what made you healthy, wealthy, and wise, you don't want to give it up. But time marches on, and suddenly it's not cool to smoke. Or when cameras went digital from 35mm.
Originally Posted by SW17LS
Companies breach agreements all the time if thats what make the most financial sense for them. Its all about dollars, companies are going to go the highest value way (which isn't always the cheapest)
Then by your ideology, GM should have been forced into bankruptcy and should have died its financial death 10 years ago, regardless of the consequences. It would be owned by the Chinese today and producing products for American and Chinese tastes. Trump would be fighting a strange trade negotiation.